Goodwill and Other Intangible Assets

6 Months Ended

Jul. 03, 2015

Goodwill and Other Intangible Assets

4.Goodwill and Other Intangible Assets

The Company conducts annual reviews for impairment, or more frequently if circumstances indicate impairment may have occurred. Other intangible assets consist of certificates of need and licenses, trade names and non-compete agreements. Finite-lived intangible assets are amortized on a straight-line basis over their estimated useful lives. Licenses, provider numbers, certificates of need and trade names have indefinite lives and are reviewed at least annually for possible impairment, or whenever events or changes in circumstances indicate that carrying amounts may not be recoverable. The Company completed its most recent annual impairment test of goodwill and other indefinite-lived intangible assets as of December 31, 2014 and determined that no impairment existed.

The following table summarizes the activity related to goodwill and other intangible assets for 2015:

			Other Intangible Assets
	Goodwill		Certificates of Need and Licenses		Trade Names			Non-compete Agreements			Total
Balances at 12-31-14	$	192,523	$	39,611	$	14,771		$	20		$	54,402
Acquisitions	2,544		250		—			—			250
Amortization	—		—		(5		)	(8		)	(13		)

Balances at 7-3-15	$	195,067	$	39,861	$	14,766		$	12		$	54,639

Acquisitions in the table relate to the WillCare Ohio acquisition discussed further in Note 10, “Acquisitions”.

The following table summarizes the Company’s goodwill and other intangible assets by segment:

			Other Intangible Assets
	Goodwill		Certificates of Need and Licenses		Trade Names		Non-compete Agreements		Total
Visiting Nurse	$	148,071	$	39,041	$	11,386	$	6	$	50,433
Personal Care	39,412		820		3,380		6		4,206
Healthcare Innovations	7,584		—		—		—		—

Balances at 7-3-15	$	195,067	$	39,861	$	14,766	$	12	$	54,639

- Definition

The entire disclosure for the aggregate amount of goodwill and a description of intangible assets, which may include (a) for amortizable intangible assets (also referred to as finite-lived intangible assets), the carrying amount, the amount of any significant residual value, and the weighted-average amortization period, (b) for intangible assets not subject to amortization (also referred to as indefinite-lived intangible assets), the carrying amount, and (c) the amount of research and development assets acquired and written off in the period, including the line item in the income statement in which the amounts written off are aggregated, if not readily apparent from the income statement. Also discloses (a) for amortizable intangibles assets in total and by major class, the gross carrying amount and accumulated amortization, the total amortization expense for the period, and the estimated aggregate amortization expense for each of the five succeeding fiscal years, (b) for intangible assets not subject to amortization the carrying amount in total and by major class, and (c) for goodwill, in total and for each reportable segment, the changes in the carrying amount of goodwill during the period (including the aggregate amount of goodwill acquired, the aggregate amount of impairment losses recognized, and the amount of goodwill included in the gain (loss) on disposal of a reporting unit). If any part of goodwill has not been allocated to a reportable segment, discloses the unallocated amount and the reasons for not allocating. For each impairment loss recognized related to an intangible asset (excluding goodwill), discloses: (a) a description of the impaired intangible asset and the facts and circumstances leading to the impairment, (b) the amount of the impairment loss and the method for determining fair value, (c) the caption in the income statement or the statement of activities in which the impairment loss is aggregated, and (d) the segment in which the impaired intangible asset is reported. For each goodwill impairment loss recognized, discloses: (a) a description of the facts and circumstances leading to the impairment, (b) the amount of the impairment loss and the method of determining the fair value of the associated reporting unit, and (c) if a recognized impairment loss is an estimate not finalized and the reasons why the estimate is not final. May also disclose the nature and amount of any significant adjustments made to a previous estimate of an impairment loss.

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